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After burning 120 billion a year, Ali announced important news! Foreign media: This can't hold up?

author:Chunmiao Finance

Wen|Wang Yali

Editor|媸You

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During this time, Alibaba Group announced an important news: it closed the research and development department of its world's largest self-driving laboratory, Ali Damo Academy.

This means that after years of high flying and prosperity, the internal structure of the Ali Empire has also begun to undergo structural adjustments and market-oriented changes. And foreign media commented on this: This is not sustainable?

After burning 120 billion a year, Ali announced important news! Foreign media: This can't hold up?

Since 2017, Alibaba has invested extensive resources and funds to develop cutting-edge technologies such as artificial intelligence, blockchain, and the Internet of Things, and strengthened technical research in big data processing and cloud computing.

Their achievements are clear for themselves, with more than 60 world champions in the fields of artificial intelligence, quantum computing and communications, and more than 1,000 papers in the field of artificial intelligence.

While these measures have helped Alibaba stay ahead of the curve in technology, they have come at a huge cost. Ali has burned more than 120 billion yuan in the field of science and technology in 2022.

After burning 120 billion a year, Ali announced important news! Foreign media: This can't hold up?

It is worth noting that Ali's closure of the autonomous driving research and development department of Ali Damo Academy also means that after obtaining high capital investment, the prospects of the project are not as expected.

Many people said why did Jack Ma appear such a scene after returning to China?

Alibaba's adjustment is of great significance both at the operational level and in the social sense.

After burning 120 billion a year, Ali announced important news! Foreign media: This can't hold up?

We all know that Ali is famous for e-commerce, but now that other e-commerce platforms in the mainland are emerging one after another, Alibaba's advantages are becoming less and less obvious.

For example, many people now prefer to choose Pinduoduo, because the price of some goods of Pinduoduo is lower than that of Taobao, and the after-sales service is also very good.

Simply put, Ali's current situation is still relatively difficult, JD.com and Pinduoduo and some short video platforms have put a lot of pressure on it.

After burning 120 billion a year, Ali announced important news! Foreign media: This can't hold up?

Let's take a look at Ali's problem in terms of technology. In fact, Alibaba Cloud is also in a difficult situation now, especially as Huawei's electronics are hit.

Huawei has entered the field of cloud computing and has become the second largest company in China, the fifth largest company in the world, and more importantly, Huawei's cloud business is still developing steadily.

This is undoubtedly a huge blow to Alibaba Cloud.

After burning 120 billion a year, Ali announced important news! Foreign media: This can't hold up?

At the same time, Son has officially announced that he will completely withdraw from the Alibaba Group.

This also means that Alibaba Group will no longer have the support of SoftBank Group in the fields of market operation and acquisition, which will seriously affect the international status and influence of Alibaba Group.

For this series of adjustments and changes, Alibaba said that this is to better grasp market opportunities, improve overall efficiency and enhance core competitiveness to cope with the rapid changes in the industry and future challenges.

However, this series of adjustments has made the outside world wonder whether Alibaba, a Chinese technology giant, can maintain its former leading position.

After burning 120 billion a year, Ali announced important news! Foreign media: This can't hold up?

As a pioneer in China's Internet era, Alibaba has made certain achievements in user experience, e-commerce platform and payment environment, and has a wide range of user groups and influence in both domestic and overseas markets.

However, the rapid progress of the technology industry and the increasing competition have hindered Alibaba's presence in disruptive technologies and emerging areas.

In particular, since 2018, Alibaba has been accused of continuously investing a lot of money, especially in the field of artificial intelligence, and a large number of repetitive projects unrelated to the main business have emerged.

This leads to less effective capital investment than expected, resulting in serious waste of resources and management confusion.

After burning 120 billion a year, Ali announced important news! Foreign media: This can't hold up?

This time, after shutting down the autonomous driving R&D department of DAMO Academy, Alibaba began to focus more on the core areas of digital transformation.

Including e-commerce platform, cloud computing, data center and other infrastructure, and further strengthen the company's internal institutional mechanism and personnel quality construction.

I believe that different people have different opinions on the news released by Ali, and some people say that we should treat private enterprises well, because private enterprises have also made great contributions to the country's economic development.

After burning 120 billion a year, Ali announced important news! Foreign media: This can't hold up?

Others say Ali should change from his own problems.

Perhaps Ali's adjustment is right, and only by moving forward lightly can we make really useful results, cancel some flashy research directions, and concentrate on digital technology.

What do you have to say about this? Welcome to leave your opinion in the comment area!

Ali

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